Professional Documents
Culture Documents
INDUSTRY PROFILE
INTRODUCTION
As per the Reserve Bank of India (RBI), India’s banking sector is sufficiently capitalised and
well-regulated. The financial and economic conditions in the country are far superior to any
other country in the world. Credit, market and liquidity risk studies suggest that Indian banks
are generally resilient and have withstood the global downturn well.
Indian banking industry has recently witnessed the roll out of innovative banking models like
payments and small finance banks. The central bank granted in-principle approval to 11
payments banks and 10 small finance banks in FY 2015-16. RBI’s new measures may go a
MARKET SIZE
The Indian banking system consists of 26 public sector banks, 25 private sector banks, 43
foreign banks, 56 regional rural banks, 1,589 urban cooperative banks and 93,550 rural
nearly 80 percent of the market, thereby leaving comparatively much smaller shares for its
private peers. Banks are also encouraging their customers to manage their finances using
mobile phones.
Standard & Poor’s estimates that credit growth in India’s banking sector would improve to
11-13 per cent in FY17 from less than 10 per cent in the second half of CY14.
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INVESTMENTS/DEVELOPMENTS
RBL Bank Limited, an Indian private sector bank, has raised Rs 330 crore (US$ 49.6
million) from a UK-based development finance institution CDC Group Plc, which
will help RBL to strengthen the capital base to meet future requirements.
The State Bank of India (SBI) signed an agreement with The World Bank for a Rs
4,200 crore (US$ 625 million) credit facility, aimed at financing grid connected
JP Morgan Chase, the largest bank in United States by assets, plans to expand its
operations in India by opening three new branches in Delhi, Bangalore and Chennai in
company, has bought a large stake in Kotak Mahindra Bank Ltd from Japan-based
India’s first small finance bank called the Capital Small Finance Bank has started its
operations by launching 10 branch offices in Punjab, and aims to increase the number
FreeCharge, the wallet company owned by online retailer Snapdeal, has partnered
with Yes Bank and MasterCard to launch FreeCharge Go, a virtual card that allows
users to pay for goods and services at online shops and offline retailers.
Exim Bank of India and the Government of Andhra Pradesh has signed a
Kotak Mahindra Bank Limited has bought 19.9 per cent stake in Airtel M Commerce
Services Limited (AMSL) for Rs 98.38 crore (US$ 14.43 million) to set up a
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payments bank. AMSL provides semi-closed prepaid instrument and offers services
Ujjivan Financial Services Ltd, a microfinance services company, has raised Rs 312.4
including mutual funds, insurance firms, family offices and High Net Worth
Individuals (HNIs)).
India's largest public sector bank, State Bank of India (SBI), has opened its first
Global rating agency Moody's has upgraded its outlook for the Indian banking system
to stable from negative based on its assessment of five drivers including improvement
The Reserve Bank of India (RBI) has granted in-principle licences to 10 applicants to
open small finance banks, which will help expanding access to financial services in
IDFC Bank has become the latest new bank to start operations with 23 branches,
The RBI has given in-principle approval to 11 applicants to establish payment banks.
These banks can accept deposits and remittances, but are not allowed to extend any
loans.
double its branch count in India to 10 over the next three years and also target a 10 per
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The RBI has allowed third-party white label automated teller machines (ATM) to
accept international cards, including international prepaid cards, and said white label
ATMs can now tie up with any commercial bank for cash supply.
The RBI has allowed Indian alternative investment funds (AIFs), to invest abroad, in
Bandhan Financial Services raised Rs 1,600 crore (US$ 234.8 million) from two
full service bank. Bandhan, one of the two entities to get a banking licence along with
GOVERNMENT INITIATIVES
The government and the regulator have undertaken several measures to strengthen the Indian
banking sector.
In July 2016, the government allocated Rs 22,915 crore (US$ 3.41 billion) as capital
infusion in 13 public sector banks, which is expected to improve their liquidity and
The Reserve Bank of India (RBI) has released the Vision 2018 document, aimed at
down paper-based transactions, increasing the usage of digital channels, and boosting
The Reserve Bank of India (RBI) has issued guidelines for priority sector lending
certificates (PSLCs), according to which banks can issue four different kinds of
PSLCs—those for the shortfall in agriculture lending, lending to small and marginal
farmers, lending to micro enterprises and for overall lending targets – to meet their
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The Reserve Bank of India (RBI) has allowed additional reserves to be part of tier-1
foreign currency translation reserves and deferred tax assets, which is expected to
shore up the capital of state-run banks and privately owned banks by up to Rs 35,000
crore (US$ 5.14 billion) and Rs 5,000 crore (US$ 734 million) respectively.
Scheduled commercial banks can grant non-fund based facilities including partial
credit enhancement (PEC), to those customers, who do not avail any fund based
(US$ 2.2 billion) has been made in the Union Budget 2016-17 towards interest
subvention.
Under Pradhan Mantri Jan Dhan Yojna (PMJDY), 250.5 million accounts! have been
opened and 192.2 million RuPay debit cards have been issued as of October 12, 2016.
These new accounts have mustered deposits worth almost Rs 44,480 crore (US$ 6.67
billion).
Investment and Infrastructure Fund (NIIF), to deal with stressed assets of banks. The
special fund will potentially take over assets which are viable but don’t have
The Reserve Bank of India (RBI) plans to soon come out with guidelines, such as
consumers, especially since a large number of Indians have now been financially
included post the government’s massive drive to open a bank account for each
household.
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To provide relief to the state electricity distribution companies, Government of India
has proposed to their lenders that 75 per cent of their loans be converted to state
government bonds in two phases by March 2017. This will help several banks,
companies from their loan book, thereby improving their asset quality.
Government of India aims to extend insurance, pension and credit facilities to those
excluded from these benefits under the PradhanMantri Jan DhanYojana (PMJDY).
To facilitate an easy access to finance by Micro and Small Enterprises (MSEs), the
cover for collateral free credit facilities extended to MSEs upto Rs 1 Crore (US$ 0.15
million). Moreover, Micro Units Development & Refinance Agency (MUDRA) Ltd.
was also established to refinance all Micro-finance Institutions (MFIs), which are in
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ROAD AHEAD
The Indian economy is on the brink of a major transformation, with several policy initiatives
and more controlled inflation are likely to prop-up the country’s the economic growth.
reforms are expected to provide further impetus to growth. All these factors suggest that
India’s banking sector is also poised for robust growth as the rapidly growing business would
Also, the advancements in technology have brought the mobile and internet banking services
to the fore. The banking sector is laying greater emphasis on providing improved services to
their clients and also upgrading their technology infrastructure, in order to enhance the
Many banks, including HDFC, ICICI and AXIS are exploring the option to launch contact-
less credit and debit cards in the market shortly. The cards, which use near field
communication (NFC) mechanism, will allow customers to transact without having to insert
or swipe.
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COMPANY PROFILE
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HDFC BANK LIMITED
Development Finance
Corporation) is an Indian
banking and financial services company headquartered in Mumbai, Maharashtra. It has about
87,555 employees and has a presence in Bahrain, Hong Kong and Dubai.[7] HDFC Bank is
the second largest private bank in India as measured by assets. It is the largest bank in India
by market capitalization as of February 2016. It was ranked 69th in 2016 BrandZ Top 100
PROFILE
HDFC BANK
Type Public
Traded as BSE: 500180
NSE: HDFCBANK
NYSE: HDB
BSE SENSEX Constituent
CNX Nifty Constituent
Industry Banking, Financial services
Founded August 1994
Headquarters Mumbai, Maharashtra, India
Area served India
Key people Aditya Puri (MD)
Products Investment Banking
Investment Management
Wealth Management
Private Banking
Corporate Banking
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Private Equity
Finance and Insurance
Consumer Banking
Mortgages
Credit Cards
Revenue Rs. 10,588.1 crore(US$1.6 billion) (2016)
Profit Rs. 3,238.9 crore(US$480 million) (2016)
Total assets Rs. 755,100 crore(US$110 billion)(2016)
Total equity Rs. 507.1 crore(US$75 million)
Number of employees 87,555 (April 2016)
Website HDFCBank.com
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HISTORY
Limited (HDFC), India's largest housing finance company. It was among the first companies
to receive an 'in principle' approval from the Reserve Bank of India (RBI) to set up a bank in
the private sector. The Bank started operations as a scheduled commercial bank in January
Times Bank Limited (owned by Bennett, Coleman & Co. / Times Group) was merged with
HDFC Bank Ltd., in 2000. This was the first merger of two private banks in India.
Shareholders of Times Bank received 1 share of HDFC Bank for every 5.75 shares of Times
Bank.
In 2008 HDFC Bank acquired Centurion Bank of Punjab taking its total branches to more
than 1,000. The amalgamated bank emerged with a base of about Rs. 1,22,000 crore and net
advances of about Rs.89,000 crore. The balance sheet size of the combined entity is more
Business focus
HDFC Bank deals with three key business segments. - Wholesale Banking Services, Retail
Banking Services, Treasury. It has entered the banking consortia of over 50 corporates for
providingworking capital finance, trade services, corporate finance, and merchant banking. It
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Wholesale banking services
Blue-chip manufacturing companies in the Indian corp to small & mid-sized corporates and
agri-based businesses. For these customers, the Bank provides a wide range of commercial
and transactional banking services, including working capital finance, trade services,
transactional services, cash management, etc. The bank is also a leading provider of the above
services to its corporate customers, mutual funds, stock exchange members and banks.
HDFC Bank was the first bank in India to launch an International Debit Card in association
with VISA (Visa Electron) and issues the MasterCard Maestro debit card as well. The Bank
launched its credit card business in late 2001. By March 2009, the bank had a total card base
(debit and credit cards) of over 13 million. The Bank is also one of the leading players in the
“merchant acquiring” business with over 70,000 Point-of-sale (POS) terminals for debit /
credit cards acceptance at merchant establishments. The Bank is positioned in various net
based B2C opportunities including a wide range of internet banking services for Fixed
Deposits, Loans, Bill Payments, etc.With Finest of Technology and Best of Man power in
Banking Industry HDFC BANK's retail services have become by and large the best in India
and since the contribution to CASAi,e total number of current and savings account of more
than 50%, HDFC BANK has full potential to become Indias No.1 Private Sector Bank.
Treasury
Within this business, the bank has three main product areas - Foreign Exchange and
Derivatives, Local Currency Money Market & Debt Securities, and Equities. These services
are provided through the bank's Treasury team. To comply with statutory reserve
requirements, the bank is required to hold 25% of its deposits in government securities. The
Treasury business is responsible for managing the returns and market risk on this investment
portfolio.
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Distribution network
HDFC Bank is headquartered in Mumbai. As of June 30, 2015, the Bank’s distribution
network was at 4,101 branches. All branches are linked on an online real-time basis.
Customers across India are also serviced through multiple delivery channels such as Phone
Banking, Net Banking, Mobile Banking and SMS based banking. The Bank’s expansion
plans take into account the need to have a presence in all major industrial and commercial
centres, where its corporate customers are located, as well as the need to build a strong retail
customer base for both deposits and loan products. Being a clearing / settlement bank to
various leading stock exchanges, the Bank has branches in centres where the NSE / BSE have
The Bank also has a network of 11,962 ATMs across India. HDFC Bank’s ATM network can
be accessed by all domestic and international Visa / MasterCard, Visa Electron / Maestro,
MANAGEMENT
Mrs. Shyamala Gopinath holds a Master’s Degree in Commerce and is a CAIIB. Mrs.
capacities at RBI. As Deputy Governor of RBI for seven years and member of the Board.
Mrs. Gopinath had been guiding and influencing the national policies in the diverse areas of
financial sector regulation and supervision, development and regulation of financial markets,
The Managing Director, Mr. Aditya Puri, has been a professional banker for over 25 years
and before joining HDFC Bank in 1994 was heading Citibank's operations in Malaysia.
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experience in public policy, administration, industry and commercial banking. Senior
Senior banking professionals with substantial experience in India and abroad head various
businesses and functions and report to the Managing Director. Given the professional
expertise of the management team and the overall focus on recruiting and retaining the best
talent in the industry, the bank believes that its people are a significant competitive strength.
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Awards and Achievements - Banking Services
HDFC Bank began operations in 1995 with a simple mission: to be a "World-class Indian
Bank". We realised that only a single-minded focus on product quality and service excellence
would help us get there. Today, we are proud to say that we are well on our way towards that
goal.
It is extremely gratifying that our efforts towards providing customer convenience have been
2016
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The Financial Express India's Best - Profitability: Rank 1
Banks Awards 2015 - Efficiency: Rank 1
- Strength & Soundness: Rank 1
Outlook Money Awards 2015 - Best Bank of the year : Runner up
- Winner : Institutional Financial
Distributor of the year
Pension Fund Regulatory and - Best Performing Bank - Maximum APY
Development Authority awards for Subscribers
Atal Pension Yojana - Best Performing Bank in the Private
sector Banks category
- Best Performing Bank : Atal Pension
Yojana Carnivals in Private Sector Banks
Business Today KPMG India's Best Banks 2015 Awards
Barron's World's Top 30 CEOs Mr. Aditya Puri in Barron's Top 30 Global
CEOs for 2nd year
IBA Awards HDFC Bank wins prestigious IBA Banking
Technology Awards
Business Today Best Companies to Work for in India
NABARD Award Best Bank in JLG-Bank Linkage
programme in Assam
Business Today - KPMG India's Best HDFC Bank wins Bank of the year and
Bank Best Digital Banking Initiative awards
NABARD Award - The Best Bank in HDFC Bank wins NABARD Award
SHG Credit Linkage in Tamil Nadu
2015
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Puri
Barron's - World's 30 Best CEOs - Mr Aditya
Puri
Finance Asia poll on Asia's Best - Best Managed Public Company -
Companies 2015 India'
Best CEO- Aditya Puri
Best Corporate Governance- Rank 3
Best Investor Relations- Rank 3
J. P Morgan Quality Recognition Award - Best in class straight Through
Processing Rates
2014
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- Best Domestic Provider of FX research &
market coverage
- Best Domestic provider for FX Services
The Asian Banker Strongest Bank in India in the Asian Banker 500
(AB 500) Strongest Bank by Balance Sheet
Ranking 2014
Dun & Bradstreet - Polaris Financial - Best Bank - Managing IT Risk (Large Banks)
Technology Banking Awards 2014 - Best Bank - Mobile Banking (Large Banks)
- Best Bank - Best IT Team (Private Sector
Banks)
Forbes Asia Fab 50 Companies List for the 8th year
BrandZ TM Top 50 Most Valuable India's Most Valuable Brand
Indian Brands study by Millward Brown
Finance Asia Country Awards 2014 and - Best Bank - India
poll on India's Top Companies - Best CEO- Rank 1
- Best CSR - Rank 1
- Best CFO - Rank 2
Asiamoney Best of Best Domestic Banks - India
Dun & Bradstreet - Manappuram Best Corporate in Banking Sector
Finance Limited Corporate Award 2014
2013
Institutional Investor
- Best Bank in Asia
- Mr. Aditya Puri - Best CEO
Forbes Asia
Fab 50 Companies List for the 7th year
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- Safest Bank: Large
- Mr. Aditya Puri: Top Achiever
2012
2011
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5) Best Risk Management System
Runners Up -
Best Financial Inclusion
IDC FIIA Awards Excellence in Customer Experience
2011
2010
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Banking and Wealth Private Banking Services overall (moved up from No. 2 last
Management Poll year)
2010
Financial Insights Innovation in Branch Operations - Server Consolidation
Innovation Awards Project
2010
Global Finance Best Trade Finance Provider in India for 2010
Award
2 Banking 1) Best Risk Management Initiative and 2) Best Use of Business
Technology Awards Intelligence.
2009
SPJIMR Marketing 2nd Prize
Impact Awards
(SMIA) 2010
Business Today Listed in top 10 Best Employers in the country
Best Employer
Survey
We are aware that all these awards are mere milestones in the continuing, never-ending
journey of providing excellent service to our customers. We are confident, however, that with
your feedback and support, we will be able to maintain and improve our services.
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HDFC BANK SERVICES
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PRODUCTS AND SERVICES AT A GLANCE
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FOREX SERVICES PAYMENT SERVICES ACCESS YOUR
ACCOUNT THROUGH
Apart from Regular and Premium Current accounts we also have HDFC Bank Plus, a Current
Account and then some more. You can transfer up to Rs. 50 lakh per month at no extra
charge, between the four metros. You can also avail of cheque clearing between the four
metros, get cash delivery/pickup upto Rs. 25,000/- home delivery opf Demand Drafts, at par
DEMAT ACCOUNT
Conduct hassle free transactions on your shares. You can also access your Demat Account on
the Internet.
PHONE BANKING
ATM 24 hour banking: Apart from routine transactions, you can also pay your utility bills and
transfer funds, at any of our ATMs across the country all year round. Intercity/ Interbranch
Banking: Access your account from any of our 241 branches in 129 cities.
NET BANKING
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Access your bank account from anywhere in the world, at anytime, at your own convenience.
You can also view your Demat Account through Net Banking.
An ATM card you can shop with all over the country and in over 140 countries with. You can
MOBILE BANKING
Access your account on your mobile phone screen at no airtime cost. Use SMS technology to
BILL PAY
Pay your telephone, electricity and mobile phone bills through our ATM, Internet, Phone or
LOANS:
PERSONAL LOANS
exciting holiday.
Finance up to 90% of the cost of car, new or used! And the loans come to you with easy
Get an overdraft up to Rs. 10 lakh at an attractive interest rate against physical shares, up to
50% of the market value of your shares. In case of Demat Shares, you can get a Loans against
Shares of up to 65% of the market value of your shares, till Rs. 20 lakh.
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MAIN TYPES OF ACCOUNTS OFFERED
SAVING ACCOUNTS
2. SavingsMax Account
4. No Frills Account
SALARY ACCOUNTS
5. Payroll Account
7. Reimbursement Account
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CURRENT ACCOUNTS
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MANDATORY RULES OF RBI
Time norms
Citizen Charter
Code of Commitment
Model Policies
Outstation Cheques
Acceptance of Coins
Customers Day
Bank Notes
HR Gratituty Rules
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Treatment of Soiled/Mutilated notes
notes
the note indicating the number of pieces of note & value in each
denomination.
customer.
Customer should be requested to make good for the shortfall & make
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Continuity / flow of signatures
dots
Identify any key letter in the signature which is unique to the person.
Screen Lock – Remember to lock your screen when you move away from your
seat.
If you are handling any security item like Demand draft inventory, then ensure
Ensure duplicate keys for all keys you hold are available with the Branch
While handling Cash ensure to lock the draws when not on the desk.
If posted at the cash counter , make sure to keep the cabin door locked always
Display of prominent stickers in the cash area as ‘The branch is under Camera
Surveillance’.
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MITRA COMMITTEE
The Mitra committee headed under the chairmanship of Dr. N.L. Mitra observed two very
wide systematic gaps in law and practice in dealings of the banks and financial institutions
with the public frauds. The committee therefore prepared the suggestions in two parts.
Part I – deals with the preventive aspects of management of financial frauds to keep it
happen only in rare cases. This suggests steps to contain a clean in house financial
management.
jurisprudence so that financial fraud being a serious offence to derail the system as a whole,
1. Development of best practice code : Each bank and Financial institution within the
time frame indicated by the regulator , prepare a Best Practice Code (BPC) for its
officers and staff to provide detailed rule based procedural system related matters and
retaining system for internalizing the BPC and all directives of the Institution and the
Regulator
3. Internal Check and Internal Control: There must be introduced a system of internal
in all transaction exceeding a value limit. In case of exercise of judgment power, Aan
discretionary power.
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5. Legal Compliance Audit: Every institution should have a legal compliance and due
diligence audit every year and submission of the report to the regulator and to the
shareholders.
correlation with the exercising of discretionary and the rationality of such judgment.
activity, or use of excess power or smell any foul transaction, he should refer the
committee feels that while the violation of any regulation should come within the
purview of the regulator, any act of omission or commission of the bank or any of its
employees attracts the provision of a criminal law, hence it needs to be tackled by the
RBI itself. For instance a fraud of Rs. 10 crore in a large public sector bank may not
small private sector bank may be of great concern. It is therefore; felt that the
response of the RBI to such frauds should take into account the whole picture.
review of such monitoring can be done at the time of the periodical inspection of
banks.
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9. DIFFERENT ROLES IN HDFC BANK (GENERAL BANKING
OPERATIONS)
CASH
ACCOUNT OPENING
REMITTANCES
CLEARING
CASH
The most liquid asset of a bank is CASH held with itself or with the Reserve Bank of India.
These cash reserves are also called the ‘first line of defense’ to indicate their significant role
in defending the solvency, reputation and goodwill of the bank. The demand of the customers
is immediately met by the bank with the cash balances with itself or the balances which are
Existence of Bankers
CASH
Things to check:
o Currency features
o System Profile ID
Accept:
o Cash
o While accepting the cash Rs 50,000 & above customer has to produce
61 only.
Ensure
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o Depositor has signed.
Process
copy, 2nd on the customer’s copy & 3rd on the perforation such that half
Cash Payment
o Cash
o System profile Id
Things to check
Accept
Ensure
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o All details are filled in the cheque
Process
o Count the cash & ask customer to sign on the back of the instrument as
instrument.
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BANK ACCOUNT
Opening Bank Account is the most common and first service offered by the Banks. There are
Bank Savings Account - Bank Savings Account can be opened for eligible person /
persons and certain organizations / agencies (as advised by Reserve Bank of India
Bank Term Deposits Account - Bank Term Deposits Account can be opened by
Bank Account Online - With the advancement of technology, the major banks in the
public and private sector has facilitated their customer to open bank account online.
advent of bank account online has saved both the cost of operation for banks as well
as the time taken in opening an account, though it is not popular amongst all banks as
yet.
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General procedure to open an account:-
The Bank at first provides the customer with details of various types of accounts that
The customer can have his choice on what type of account would best suit him, based
The Bank will, prior to opening an account, require documentation and information as
prescribed by the "Know Your Customer" (KYC) guidelines issued by RBI or such
other norms or procedures adopted by the Bank prior to opening the account.
The due diligence process that the Bank would follow, will involve providing
The Bank is required by law to obtain Permanent Account Number (PAN) or General
Index Register (GIR) Number or, where you do not possess such registration,
In the event that the account opening process is likely to take longer than normal, the
The Bank will provide the customer with the account opening forms and other
relevant material to enable him open the account. Bank personnel will advise him on
the complete details of information that would be required by the Bank for the
verification process.
The Bank reserves the right, at its sole discretion, to open any account and at such
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Components of Welcome Kit
Debit Card
Welcome letter
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KYC- Know Your Customer Guidelines
KYC guidelines are required to be followed by all banks at the time of opening a customer’s
account.
Driving license
Voter ID
PAN card
Passport
Telephone bill
Lease agreement
Passport
Self cheque
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MAIN TYPES OF ACCOUNTS OFFERED
SAVING ACCOUNTS
SALARY ACCOUNTS
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9. Premium Salary Account
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CURRENT ACCOUNTS
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CLEARING PROCESS
Clearing is a process by which banks exchange instruments. Funds are transferred from the
Clearing house
Clearing House is the intermediary bank, which controls the entire clearing system. All
cheques are received and sent by banks for payments/ collection through the Clearing House.
TYPES OF CLEARING
M.I.C.R. Clearing
With a view to speeding up the cheque clearing process, both local as well inter city, the
Reserve Bank of India has introduced mechanized cheque processing system using MICR
(Magnetic Ink Character Recognition) technology. Under this system, the cheques are
processed at high speed on machines. Banks issue cheque, draft and other payment
instruments in MICR format using the special quality paper and printing specifications. On
MICR instruments, there is a code line at the bottom containing information printed in
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High Value Clearing
This involves special processing of cheques of amount Rs. 1, 00,000/- & above. Funds are
credited to payee’s account the same day. Cheque has to be deposited before the high – value
Return Clearing
When cheques presented by banks cannot be cleared for any reason whatsoever by the
drawee bank, they are returned back to the presenting / collecting bank. This process of
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Clearing Process
A issues cheque to B. the payment from A to B happens through clearing when A & B hold
accounts in two different banks. The participants in this process are
A’ Bank : Drawee Bank
B’ Bank : Collecting/ Presenting Bank
Clearing house : RBI
CLEARING CYCLE
CLEARING
HOUSE
REMITTANCES
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There are 4 types of Remittances, they are
PAY ORDER
DEMAND DRAFT
RTGS
NEFT
PO Slips
Printer
Required Stamps
Things to check:
Accept:
Cash/cheque
Ensure:
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Cheque is signed by customer
Process:
DEMAND DRAFT
Things to check
DD punching
Accept
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Cash/ cheque
Ensure
Process
Note: RBI has stopped Pay order above Rs. 50,000. It is preferable to make DD/PO by
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CHARGES OF DD/PO
For example:
DD/PO issued by HDFC Bank is valid for the period of 6 months/3 months
Whenever the DD/PO is not encashed on or before this period, then the customer may
approach the DD/PO issuing branch for revalidation of the instrument. The customer
In case of purchaser initiates request, purchaser has to give request letter duly signed
as per mode of operation of account to the branch along with original DD/PO
instrument
In receipt of the original DD/PO branch has to check whether DD/PO is still unpaid,
the DD/PO is revalidated for further 6 months period from the date of revalidation.
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Issuance of Duplicate DD/PO
Duplicate DD/PO is issued at the specific request of the purchaser/ beneficiary after
CANCELLATION OF DD
DD/PO not utilized by the applicants are given to the DD/PO issuing branch for
letter duly signed by the authorized signatories along with the original instrument
after affixing revenue stamp of Re. 1/- if the proceeds are to be given by way of cash
for cases less than Rs. 50,000 and it should be duly signed by the authorized
signatories, if the proceeds are to be given. Revenue stamp need not be insisted if the
Note: In case the customer does not have original DD/PO at the time of cancellation or
issuance of duplicate DD/PO, then the customer must deposit an Indemnity Bond to the bank,
RTGS
“Real Time Gross Settlement System” is a fund transfer mechanism where transfer of money
takes place from one bank to another on a ‘real time’ or gross basis. This is the fastest
possible money transfer system through the banking channel. Settlement in real time means
payment transaction is not subjected to any waiting period. The transactions are settled as
soon as they are processed. “Gross settlement” means the transaction is settled on one to one
basis without bunching with any other transaction. Considering that money transfer takes
place in the books of the Reserve Bank of India, the payment is taken as final and
irrevocable. RTGS timings in ING are from 10:00 hours to 17:00 hours in weekdays and from
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TAT – TAT or turn around time for RTGS in ING is 2 hours.
Charges –
- RTGS charges for amount < (below) Rs. 5, 00,000 = 25 + Service Tax
- RTGS charges for amount > (above) Rs. 5, 00,000 = 50 + Service Tax
NEFT
NEFT – “National Electronic Fund Transfer” operates on a deferred net settlement (DNS)
basis which settles transaction in batches. In DNS, the settlement takes place at a particular
point of time. All transactions are held up till that time. NEFT settlement takes place at fixed
Charges:-
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SWOT ANALYSIS
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SWOT ANALYSIS
STRENGTHS: -
WEAKNESS: –
5. Sectoral growth is constrained by low unemployment levels and competition for staff
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OPPORTUNITIES: –
THREATS: -
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COMPETITORS
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ICICI BANK
Corporation of India) is
Maharashtra, India, with its registered office in Vadodara. In 2014, it was the second largest
bank in India in terms of assets and third in term of market capitalisation. It offers a wide
range of banking products and financial services for corporate and retail customers through a
banking, life, non-life insurance, venture capital and asset management. The bank has a
network of 4,450 branches and 13,995 ATMs in India, and has a presence in 19 countries
including India.
The bank has subsidiaries in the United Kingdom and Canada; branches in United States,
Singapore, Bahrain, Hong Kong, Sri Lanka, Qatar, Oman, Dubai International Finance
Centre, China and South Africa; and representative offices in United Arab Emirates,
Bangladesh, Malaysia and Indonesia. The company's UK subsidiary has also established
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AXIS BANK
products. Headquartered in Mumbai, the bank has 2,959 branches, 12,743 ATMs and nine
international offices. The bank employs over 50,000 people and had a market capitalization
of Rs. 1.0583 trillion (US$16 billion) (as on March 31, 2016). It offers the entire spectrum of
financial services to customer segments, spanning large and mid-corporates, SME, and retail
businesses. Axis Bank has its registered office in Ahmedabad (As of 30 Jun. 2016, 30.81%
shares are owned by promoters & promoter group (United India Insurance Company
National Assurance Company Ltd, GIC, LIC & UTI). Remaining 69.19% shares are owned
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SBI (State Bank of India)
spread across 36 countries, making it the largest banking and financial services company in
India by assets. The company is ranked 232nd on the Fortune Global 500 list of the world's
The bank traces its ancestry to British India, through the Imperial Bank of India, to the
founding, in 1806, of the Bank of Calcutta, making it the oldest commercial bank in
the Indian Subcontinent. Bank of Madras merged into the other two "presidency banks" in
British India, Bank of Calcutta and Bank of Bombay, to form the Imperial Bank of India,
which in turn became the State Bank of India in 1955. Government of India owned the
Imperial Bank of India in 1955, with Reserve Bank of India (India's Central Bank) taking a
60% stake, and renamed it the State Bank of India. In 2008, the government took over the
State Bank of India is a banking behemoth and has 20% market share in deposits and loans
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KOTAK MAHINDRA BANK
February 2003,Reserve Bank of India (RBI) gave the licence to Kotak Mahindra Finance
It offers a wide range of banking products and financial services for corporate and retail
customers through a variety of delivery channels and specialized subsidiaries in the areas
Kotak Mahindra Bank has a network of 1,336 branches and 2,044 ATMs spread across 702
locations in the country. In 2016, it was the third largest private bank in India by market
capitalization.
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OBJECTIVE OF THE
STUDY
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OBJECTIVE OF THE STUDY
To know the banking and financial terms used in day-to-day life and which plays an
It’s Comparison with different competitor bank so that it can have a rough idea of
For Bank: -
The study is useful to HDFC Bank because with the use of the report it can compare itself
with other banks and also do some modifications in its services and charges so as to compete
For Student: -
The study is useful for student as he gains knowledge about various services of bank, the
working of the bank and also about the competitors of the bank, which plays an important
The scope of study is to understand the problems faced by the bank while maintaining
the market position among the competitors. With the help of this project we can introduce
new facilities and we can explore new segments of customers with the analytical conclusion
of this project. We can better understand what our weaknesses are and what our strengths are;
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RESEARCH
METHODOLOGY
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RESEARCH METHODOLOGY
MEANING OF RESEARCH:-
Research in common parlance refers to a search for knowledge. One can also define research
The Advanced Learner’s Dictionary of current English lays down the meaning of research as
“a careful investigation or inquiry especially through search for new facts in any branch of
Knowledge”
Exploratory research studies are also term as formulating research studies. The main purpose
developing the questionnaire from an operational point of view the major emphasis in such
studies is on the discovery of idea and insights. As such there research design appropriates for
such studies must be flexible enough to provide opportunity for considering different aspect
management in HDFC Bank in Lucknow, and about their loyalty towards the HDFC Bank
wealth management.
For this research project two types of data has been use
a. Primary data
b. Secondary data
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PRIMARY DATA
Primary data are those, which are collected for the first time and are those original in
character. Primary data are in the shape of raw material to which statistical method are
applied for the purpose of analysis & interpretation primary are been collected in market by
Survey of person
Observation
Experiments
I have been collecting primary data by the method of survey of persons. Because of
Sample size is 100 and the method used in stratified sampling, sample distribution is
scattered type.
SECONDARY DATA
Secondary data are those which have already been collected by some other person and which
EXTERNAL DATA:
This type of Secondary data can be obtained from the outside sources e.g. magazine, journal,
PROBABILITY SAMPLING
Under this sampling design, every item of the universe has an equal chance of inclusion in
the sample .it is so to say, a lottery method in which individual units are picked up from the
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whole group not deliberately but by some mechanical process. Here it is blind chance alone
Those are mutually exclusive and include all items in the universe.
A sample random sample is than chosen independently from each group of Stratum. The
process of stratified random sampling differs from simple random sampling in that, with the
Usually, the information to solve the problem cannot be found in internal of publish external
records. The research must be depending on primary data. Which are collected scientifically
Primary Data
Primary sources refer to data collection directly from the customer taken education loan.
They are often reliable data source & help in overcoming limitations of secondary data.
Census
Sample
Census
Refers to collecting of data from the population. The most common form of census is the
Indian population census or compilation of votes list is an area. It takes along time & hence is
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Sample;
Referes to a pick taken from a population. The conclusion can be exported to entire
The discussion on sample based on time available to a research & decision market. For
This is most important tool for data collection. A questionnaire contains question that
For example:
Sample:
A sample is selection of unit from entire group called population on universe of interest.
b. Sampling size - how may responded are to be contacted under the survey.
Sample size:
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PROBLEMS & LIMITATIONS
3. Inadequate data.
5. The members of the bank are losing trust towards the bank due to less concern
6. HDFC are not properly communicating about the products and schemes to the
customers.
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DATA ANALYSIS
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DATA ANALYSIS
1. In which bank do you want to open an account whether it is saving or categories
of current account?
40% people said that they can’t say anything without knowing the services of the
HDFC BANK ICICI BANK AXIS BANK IDBI BANK CAN’T SAY
18 21 08 13 40
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2. What is your occupation?
BUSSINESSMEN SERVICEMEN
35% 65%
Interpretation: Most of the respondents belong to Servicemen category.
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3. What is your monthly Income?
Below 15,000 22%
Interpretation: Most of the respondents have monthly income in Rs. 15000 to Rs. 25000
range.
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4. Which kind of account you have?
Saving account 62%
Interpretation: It was found that 62% respondents have saving bank account while 38%
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5. Why did you open account?
Others 10%
Interpretation: It was found that 38% respondents opened bank account for Saving their
money while 32% respondents opened account for deposit schemes like FD and all, and rest
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6. Do you feel the Product provided by the Bank is comparable to other Bank in your
locality?
Yes 97%
No 3%
Interpretation: Most of the respondents think that Product provided by the Bank is
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7. Are you satisfied with the product of the Bank?
Yes 99%
No 1%
Interpretation: Most of the respondents are satisfied with the Bank Products.
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8. In your opinion how do you rank HDFC Bank with other Nationalized Banks in term
of customer Service?
5-10 13%
10-15 2%
15-20 0%
Above 20 0%
Interpretation: Most of the respondents rate the HDCF Bank in top 1 to 5 Nationalized
Banks..
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9. Do you have knowledge about credit facilities being provided by the bank?
Yes 52%
No 48%
Interpretation: It was found that only 52% people are aware about the credit facilities of
bank. Bank need to make people aware about the credit facilities.
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10. If no, did bank explain to you the advantages of these credit facilities?
a. Yes 37%
b. No 63%
Interpretation: It was found that bank didn’t bank explain the advantages of these credit
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FINDINGS
As we have seen that all the banks are providing almost the same kind of services to their
customers in somewhat more or less numbers. I have done the comparison on the basis of
service charges different banks are charging from their following interpretation is drawn:-
ICICI Bank proves itself the best bank among the top 4 private banks in Gonda (U.P)
because it is providing the best and some extra services and benefits to its customers
HDFC Bank got 2nd position because it has less number of product range than ICICI
Bank and in some categories of Current A/C some services are not providing by it.
AXIS Bank got third rank as it is better than each other in some offerings and
benefits.
IDBI Bank got 4th position as it has not providing much more option to customers in
investing their money. It has only few categories of current a/c and its charges very
high.
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SUGGESTION
As HDFC is providing very good services in terms of the money transaction but they
are not having their ATM’s in comparison to the other banks if we consider only in
Lucknow (U.P) then ICICI is having 3 ATM’s but HDFC is having only 1 ATM’s. So
HDFC bank is having very good policy for the ARMY but they are not having much
concentration on the saving a/c then the ICICI bank so HDFC should make some
HDFC is not having their Internet service in a good manner then ICICI & other banks
as ICICI is providing the bill pay facility through internet but HDFC is not having. So
HDFC should appoint a team who can make this facility batter.
Third Party Pay is a major issue for the HDFC bank because they only having self Pay
facility & customer want the “Third Party Pay”. So HDFC also consider this point.
HDFC bank is not having more categories in Current a/c then ICICI bank.
The last but not least HDFC bank’s working hour they close their bank at 3.30 but all
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CONCLUSION
After doing a lot of research and studying the materials available on internet, newspapers,
magazines and journals. I want to conclude that people prefers HDFC Bank more than ICICI
Bank for saving accounts in private sector. As private banks are coming daily in our country
still, Mostly people prefers government banks for saving accounts, especially older persons
are more dependent on government banks. It is true that younger population preference is
changing and they prefer more private banks because of services and facilities provided by
private banks. The appearance of banks also becomes very important for the present
generation and private banks put their complete efforts on this, which is lacking in
government banks. At last I can only say that HDFC Bank enjoys leading position in personal
Conclusion about services and both favorable and unfavorable Services and charges prove
favorable for the services with which it is proving good services in low charges or charges
equal to the charges of the main competitor and proves unfavorable for the services and
products not providing by it while providing by any other leading bank. For the example
HDFC bank is not providing the service of home delivery and collection with current a/c
category-1 while other banks are providing the same service by charging minimum charges.
This could prove unfavorable to bank as this service can attract customers.
To conclude at last I would conclude HDFC bank is a bank, which provides attractive
services, it has got a very good name in the market. I wish that HDFC bank keep up its name
& grow with a great speed. It was such a grateful opportunity to get training in such a
renowned bank.
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BIBLIOGRAPHY
https://en.wikipedia.org/wiki/HDFC_Bank
http://www.hdfcbank.com/htdocs/aboutus/default.htm
http://en.wikipedia.org/wiki/Banking_in_India
http://www.ibef.org/industry/banking-india.aspx
http://www.hdfcbank.com/
https://en.wikipedia.org/wiki/State_Bank_of_India
https://en.wikipedia.org/wiki/Axis_Bank
https://en.wikipedia.org/wiki/ICICI_Bank
https://en.wikipedia.org/wiki/Kotak_Mahindra_Bank
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ANNEXURE
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QUESTIONNAIRE
Address: …………………………………………
of current account?
HDFC BANK
ICICIBANK
AXISBANK
IDBI BANK
BUSINESSMAN
SERVICEMAN
Below 15,000
Above 25,000
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4. Which kind of account you have?
Saving account
Current account
To take loans
Others
6. Do you feel the Product provided by the Bank is comparable to other Bank in your
locality?
Yes
No
Yes
No
8. In your opinion how do you rank HDFC Bank with other Nationalized Banks in term
of customer Service?
1 to 5 Nationalized Banks
5-10
10-15
15-20
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Above 20
9. Do you have knowledge about credit facilities being provided by the bank?
Yes
No
7. If no, did bank explain to you the advantages of these credit facilities?
Yes
No
_____________________________________________________________________
_____________________________________________________________________
_______________________________________________________________
Thank You
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